This should help calm all that they’re-only-in-it-for-themselves, anti-establishment feeling out there,” quipped Globe and Mail senior international correspondent Mark MacKinnon about the verdict against Lagarde.

Christine Lagarde, head of the International Monetary Fund (IMF), on Monday was found guilty of “negligence” for approving a massive government payout to business tycoon Bernard Tapie during her tenure as French finance minister.

“This should help calm all that they’re-only-in-it-for-themselves, anti-establishment feeling out there,” quippedGlobe and Mailsenior international correspondent Mark MacKinnon in response to the latest charge of government corruption.

Though Judge Martine Ract Madoux did not hand down a sentence for the managing director, the court said Largarde “should have done more” to prevent the €405m ($422m) payout, Bloombergreports.

Tapie, a close associate and financial backer of former French president Nicolas Sarkozy, was awarded the payout in in 2008.

“An arbitration panel ordered the payout to Tapie in connection with his sale of sportswear company Adidas. The panel upheld Tapie’s claim that the Crédit Lyonnais bank had defrauded him by intentionally undervaluing Adidas at the time of the sale and that the state — as the bank’s principal shareholder—should compensate him.

“It was Lagarde who, in her role as French finance minister, ordered the case to be heard by an arbitration panel instead of proceeding through the regular courts.

“Critics say that Lagarde ensured Tapie received preferential treatment by referring the matter to arbitration as a quid pro quo for his financial support for Sarkozy during his 2007 presidential bid.”

Lagarde, who is traveling to Washington, D.C., was not present at Monday’s hearing in Paris, though she will likely appeal the decision. Reutersnotes that the ruling could potentially trigger “a new leadership crisis at the International Monetary Fund after Lagarde’s predecessor Dominique Strauss Khan resigned in 2011 over a sex assault scandal.”

What’s more, the trial and surprise conviction will likely “reviv[e] concerns in France about high-level corruption,” the New York Times notes, “shining a spotlight on intimate ties between politicians and business people, and on the large sums that are sometimes used to grease the country’s political wheels.”

If you enjoyed this article or learned something new, please don't forget to Subscribe, follow our Facebook / Twitterpage and/or share it with others so they have a chance to enjoy this information!

Do you like our articles? Please check the below two settings on Facebook to guarantee you don't miss our posts:
We're creating a informative news network. We need your help. Contact us, make an donation or please click on one of the advertisement banners.

We use cookies to give you the best experience on our website. We use cookies to personalize content and ads and to provide social media features and anlaysis to our traffic. We also share information about your use of our site with our social media, advertising and analytics partners. OkRead more